Naslov
Implementing the Internal Rate of Return Financial Function in Evaluating Investment Projects

Autori
Crnković-Stumpf, Branka ; Uhač, Borka

Vrsta, podvrsta i kategorija rada
Radovi u zbornicima skupova, cjeloviti rad (in extenso), znanstveni

Izvornik
WSEAS Transactions on Business and Economics ; Vol. 1 (4) / Manikopoulos, C. ; Tafaghodinia, B. ; Simoni, L. ; Politis, D. ; Kluev, V. ; Genco, A. ; Carlos Quadrado, J. ; D'Attelis, C. ; Mastorakis, N. - Venecija : The WSEAS (The World Scientific and Engineering Academy and Society), 2004, 350-355

Skup
The 5th WSEAS International MultiConference on Acoustics and Music : Theory and Applications (AMTA '04) Mathematics and Computers in Biology and Chemistry (MCBC'04) Mathematics and Computers in Business and Economics (MCBE'04) Automation and Information (ICAI'04) on Engineering Education (EE'04)

Mjesto i datum
Venecija, Italija, 15.11.2004. - 17.11.2004

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Međunarodna recenzija

Ključne riječi
Interna stopa rentabilnosti; financijske funkcije; ocjena; investicijski projekt
(Internal Rate of Return; Financial Function; Evaluation; Investment Project)

Sažetak
Each and every entrepreneur is, at least once, obligated to make the decision whether to invest into expanding his/her business or not. The simplest way of resolving whether it is worthwhile investing into such ideas or not, is to carry out an investment study. The study calculates and establishes the acceptability of such investments by using various indicators and methods. Computers, to a large extent, facilitate this calculating process by using mentioned indicators. The implementation of the most commonly used methods of the dynamic approach to investment project evaluation, the net present value and the internal rate of return methods, is largely facilitated by the use of the @NPV and the @IRR financial functions from the Excel program package. However, the internal rate of return method has three basic flaws limiting its implementation ability. But, the implementation of the @IRR financial function is possible in all situations where the internal rate of return method shows its limitations, since we can reach the same results by simpler and a quicker calculations of desired indicators.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija

Napomena
WSEAS = World Scientific and Engineering Academy and Society

POVEZANOST RADA